Billy McNeill's second spell back in charge of Celtic began in style as they finished the season by winning the double of the league title and Scottish Cup. The cup triumph was sealed with two late goals from Frank McAvennie, signed in early October from West Ham United, as they had trailed 1-0 to Dundee United.

Rangers, further strengthened with the signing of Englishmen Ray Wilkins and Mark Walters in midfield, had consolation for their failure to repeat title glory in the shape of a League Cup win. They could only finish third in the league, with Hearts finishing second - 10 points adrift of champions Celtic.

Rangers enjoyed the longest run in Europe out of all the Scottish clubs, reaching the European Cup quarter finals where they were edged out by Steaua Bucharest.

A reduction of the Premier Division from 12 clubs to 10 saw three clubs (Falkirk, Dunfirmline Athletic and Morton) relegated. The only promotion place went to Division One champions Hamilton Academical.